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Supply management in assembly systems
Author(s) -
Chu Chengbin,
Proth JeanMarie,
Xie Xiaolan
Publication year - 1993
Publication title -
naval research logistics (nrl)
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.665
H-Index - 68
eISSN - 1520-6750
pISSN - 0894-069X
DOI - 10.1002/1520-6750(199312)40:7<933::aid-nav3220400706>3.0.co;2-8
Subject(s) - product (mathematics) , lead time , computer science , component (thermodynamics) , order (exchange) , mathematical optimization , variable (mathematics) , lost sales , operations research , random variable , supply chain , operations management , mathematics , business , economics , statistics , marketing , mathematical analysis , physics , geometry , finance , thermodynamics
We consider the case when n components are needed to assemble a given product. Components are provided by suppliers, and the period between the order time and the time a component is available (i.e., the lead time) is a random variable with a known distribution. The due date for the assembled product is also known. The costs to be taken into account are the inventory costs of the components and the backlogging cost of the assembled product. We propose an iterative algorithm which leads to the optimal order instants of the components. © 1993 John Wiley & Sons, Inc.